New Delhi: The Supreme Court’s mandated Self-Declaration Certificate (SDC) for advertisements might disproportionately affect the revenue of radio and print media, according to industry experts.
Unlike television, which caters to advertisers with larger budgets, radio and print attract a wider range of advertisers, including many small-scale businesses. The SDC requirement, which involves filing a certificate for each advertisement, is seen as a cumbersome process for these smaller players. This could lead to a decline in advertising revenue for both print and radio broadcasters.
The Ministry of Information and Broadcasting (MIB) has assured that it will address general concerns faced by advertisers. However, industry-specific issues remain.
One major concern raised by the Indian Newspaper Society (INS) is the additional burden placed on publications. Verifying and storing a high volume of SDCs will require additional manpower and resources, impacting administrative costs. Small and medium publications may struggle to handle this extra workload.
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The INS also highlighted the challenges faced by smaller advertising agencies that still rely on hard copies of Release Orders (ROs). These agencies lack the technical expertise and infrastructure to comply with the new digital requirements, potentially leading to a decrease in their advertising activities.
A print industry expert pointed out that even mid-sized advertisers may need to create a new dedicated role to handle the SDC process. This would add a layer of bureaucracy to advertising campaigns.
Similar concerns exist for FM radio, a hyper-local medium heavily reliant on ad revenue from local advertisers in smaller cities. These advertisers often lack the infrastructure to navigate the complexities of the Broadcast Seva portal, where SDCs are filed.
The additional cost and hassle associated with SDCs could drive advertisers away from both radio and print platforms.
Monalisa Mandal, Vice President-Marketing of Fever FM, expressed concern about the impact on local businesses. “Radio thrives on local businesses,” she said. “For a local shopkeeper with a small monthly turnover, navigating the SDC platform will be demotivating.”
Mandal further emphasized that the actions of a few shouldn’t penalize the entire industry. She called for a review of the entire SDC mandate to find alternative solutions.
Another industry source pointed out that frequent short-term campaigns, common in radio advertising, would be disproportionately affected by the need to file individual SDCs for each campaign.
Industry stakeholders have proposed solutions to the MIB, including limiting the SDC requirement to specific categories like health/pharma and food advertisements.
In conclusion, the advertising landscape for print and radio might face significant changes due to the SDC mandate. The industry is urging the government to address concerns specific to their mediums and explore alternative solutions to achieve its regulatory goals without hindering the growth of these sectors.
